This session sets the scene by providing an overview of the Aid for Trade initiative, including the Regional Technical Group (RTG) on Aid for Trade in the Asia-Pacific, current trends in aid for trade flows, impact of the current economic and financial downturn on aid and financial flows in the Asia-Pacific, progress achieved to date and the challenges ahead.

The panel discussion considers regional and country perspectives from ASEAN ministers and donors on the impact of the current downturn and the strategies being considered to address the slowdown in trade and the rising threat of protectionism. It will also consider Aid for Trade needs and implementation issues. The discussion is expected to provide messages for the Second Global Review Meeting in Geneva.

The current economic slowdown and accompanying contraction in global trade has weakened the demand for ASEAN exports and reduced inward investment. Isolationist pressures and a loss of investor confidence would further aggravate the current situation. This session discusses the relevant trade-related issues and challenges facing the Asia-Pacific today: First, it will address the impact of the current downturn from a regional trade and perspective, the challenges the countries face (including the risks of rising protectionism and a drying up of trade finance) and the role of Aid for Trade to address these challenges in this changing trade landscape. Second, it will review the outlook for Aid for Trade, based on the CRS database, Organisation for Economic Co-operation and Development (OECD)/WTO self-assessments submitted by countries of the region to develop actionable plans, monitor progress, and encourage mutual accountability. Third, it will examine the key issues and implementation challenges in regional or cross-border infrastructure and offer best practices and new approaches to infrastructure development in Asia.

South-South cooperation is a growing dynamic trend and a significant source of tested solutions to development challenges, including in the international trade area. In the ASEAN region, there is increasing bilateral, trilateral and regional assistance developing among countries of the region. How innovative mechanisms and ways to enhance, promote, encourage and monitor this form of cooperation will be examined, along with discussion of the potential contribution it can make to the implementation of Aid for Trade.

Trade policy in a globalized economy is no longer merely a question of lowering barriers in export markets; it is also about facilitating the ability of companies to participate in regional and global supply chains. This session will address issues related to investment, export market integration and examine successful case studies. The aim of the session is to share a vision from the private sector in the region.

In line with the Paris Principles on Aid Effectiveness, to be successful, Aid-for-Trade strategies should be country-owned and driven. This session will evaluate the progress made and discuss issues in mainstreaming trade and competitiveness agenda in national development strategies and how these can be addressed systematically in the donors' assistance programmes.